All of sudden, on Thursday at around 11:00 BST, digital currencies came back to life after spending several days in tight consolidative ranges. Among others, bitcoin and Ethereum, in particular, looked strong and both cryptos have now extended their gains. Bitcoin Cash, Litecoin, Ripple and Neo have all gained ground, too. There was no obvious trigger behind the rally, but the selling did look overdone and a bounce back was long overdue.
Ethereum has reached and reacted from a key support area around $400. As can be seen from the chart, this price level was a significant resistance and then support in the past, and is where a long-term bullish trend line comes into play. If the sellers were to remain in full control, they would need to hold Ethereum below this level.